Accounting firms that decide to branch out into financial planning are also competing against non-CPA financial planners and companies, actively promoting the services to existing clients of traditional services, as well as trying to attract new clients. Add the nature of the services and the reluctance of some to seek out advice, and that explains why CPA firms providing financial services often capitalize on their tax expertise, independence, and their “trusted advisor” role.

Extending a Relationship

“The key is to offer relevant services that easily transition an accounting firm client to our wealth management practice,” explains Erinn Keserica, director of marketing for Frazier & Deeter and SignatureFD (Signature Financial Design, formerly F&D Advisors) In Atlanta. “Our marketing tactics are more related to grass-roots efforts of connecting with our clients through relationship building activities, with the intent of transferring the trusted relationship. Because the accounting firm Frazier & Deeter is a separate entity from SignatureFD, it allows us to bring along a separate brand and culture,” she adds.

Honkamp Krueger Financial Services, in Dubuque, Iowa, prepares its affiliate firms and CPAs so they can easily communicate their ability to help clients in the financial services area. Honkamp Krueger Financial Services provides an experienced financial advisor who works closely with the CPA to coach and assist them in communicating with clients. “All of the training and coaching we provide prepares the CPA so they can successfully introduce financial services to clients, which is the best way to market via a personal introduction from the CPA to the client. Our financial services clients are generally identified through the course of our normal consultative process. Just as we identify issues with taxes, we also identify issues that require attention through financial planning. We also take a very proactive approach to making certain that we address our client’s financial planning issues by preparing personal financial statements. This allows us to have and open discussion and address client’s goals and concerns,” explains Louie Rosalez, chief marketing officer.

John Napolitano, president of U.S. Wealth Management in Braintree, Mass., is of the opinion that the best way for a CPA firm to market planning services is to focus on existing clients, for example by sending out a monthly financial planning newsletter, distributing periodic market reports, and hosting regular educational events.

Napolitano does caution that some CPAs “have trouble closing the sale. They let the client put it off and don’t try to set a date for sitting down and focusing on all the planning issues that the client acknowlwdgwa that he or she needs to address.”

Mitchell Freedman, president of Mitchell Freedman Accountancy Corporation and MFAC Financial Advisors in Sherman Oaks, Calif., speaking at the recent SourceMedia conference “How CPAs Can Make Money in Financial Planning,” indicates that he has done very well by providing niche services. In particular, he provides family offices services to performance and creative artists, as well as to elderly affluent clients.

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